The banking industry was one of a number of new sectors roped into the VAT net recently.
There are fears the latest move will affect growth of the sector.
However, the Finance ministry has asserted that banks will only charge VAT on non-core services and not on basic services they offer.
Some of the non–core services that will affect the VAT charge include legal and accounting advisory and consulting services, safe custody for cash, documents or other valuables as well as consultancy services for Data Processing, Payroll, and debt collection.
Other services that will attract VAT are management services with respect to investments, trust or estates, leases and licensing and similar suppliers relating to property and not financial instruments
By: Vivian Kai Mensah/citifmonline.com/Ghana